Domestic power trading major PTC India is diversifying to become a total energy solution provider. The company, which has already been supplying imported coal to various utilities, is planning to acquire coal assets abroad, according to a top official.

?We have identified a few coal assets in Indonesia and Australia for acquisition,? Tantra Narayan Thakur, PTC India chairman, told FE. He, however, declined to share further details, saying negotiations are still at initial stages. The company?s management has already moved a proposal in this regard for consideration by the board.

Meanwhile, the company is also facilitating development of power generation capacity by mobilising resources on behalf of project developers and also by taking equity in projects through its subsidiary, PTC India Financial Services (PFS). It started operations in the middle of 2007-08 and has disbursed more than Rs 700 crore in financial assistance to various power projects for 4,000 mw capacity generation by March, this year.

?The parent company?s management is considering listing the subsidiary on the stock markets and an initial public offering (IPO) might take place in the coming financial year,? Thakur said.

PTC India is also acting as a co-developer in implementation of private projects through its subsidiary, PTC Energy. It is also considering setting up an equity fund to support this business.

PTC has taken a 26% equity in India?s first power exchange, Indian Energy Exchange (IEX), which started operations in 2008.

PTC India (formerly known as Power Trading Corporation of India Ltd) was set up in 1999 with a mandate to create a market for power trading in the country, as the government wanted to attract enhanced private investment in the sector. However, since there was no market for power trading at that time, private players were not very keen on investing in the sector.

With the CERC imposing a 4-paise ceiling on chargeable margin, power trading is not a profitable business. Many companies have surrendered their licences after the CERC slapped the margin cap, Perhaps, PTC too would not have sustained had it not diversified into other businesses.